Motovan Corp. Issues Statement
The Canadian distributor, Motovan Corporation, has issued a statement regarding their current position:
Dear Valued Customer,
On December 2nd, 2019 due to certain business and financial challenges we face, Motovan Corporation and Motorcycle Tires & Accessories LLC (collectively the “Company”) voluntarily filed proceedings under the Companies’ Creditors Arrangement Act (“CCAA”), which establishes a formal restructuring process while obtaining the protection of the law during the process.
The Company is NOT bankrupt and will continue its operations as usual.
In the coming weeks, the Company will establish a plan while in the CCAA process, giving us the flexibility to ensure you receive the service you are accustomed to from the last 40 years. Please understand that this is a necessary step since the process will provide the financial security and the
protection of the court for the establishment of a business strategy to ensure its eventual growth and long-term profitability.
The company will continue to be led by its current management team and our family as we have in the past. Furthermore, KPMG Inc. was appointed Monitor by the Court and they possess a vast experience and expertise in such processes.
Be sure that we will work diligently on the plan to ensure our success and continue our business relationship with you. For those who have open orders, this remains unchanged as during this process we will work with our vendors to make sure you get the needed inventory as quickly as possible.
On behalf of my dad, brother and our loyal employees, I would like to sincerely thank you for your understanding and support throughout this period.
James Paladino, MBA
President and CEO